Recent report from Law and Crime has uncovered allegations against former President Donald Trump, suggesting that he failed to disclose over $40 million in transfers. These funds were purportedly utilized to cover taxes and legal fees, as revealed by Barbara Jones, a retired U.S. District Judge overseeing Trump’s financial activities amidst multiple lawsuits.
Jones, appointed in November 2022 to monitor specific financial aspects amid New York Attorney General Letitia James’ civil fraud case against Trump, outlined her concerns in a letter filed to Manhattan Supreme Court Justice Arthur Engoron.
The retired judge, tasked with reporting transfers involving a trust in Trump’s name exceeding $5 million, discovered discrepancies in bank statements from January 2023 through October 2023. Three cash transfers, each surpassing $5 million, totaling around $40 million, were identified. Notably, a significant portion, $29 million, was transferred to Donald J. Trump for tax payments, as confirmed by Jones.
The remaining funds were allegedly directed toward insurance premiums and an attorney escrow account linked to Trump’s legal battle with writer E. Jean Carroll, who had previously sued him for defamation and sexual abuse.
Judge Barbara Jones addressed the lack of disclosure, stating, “We have discussed with Defendants why these transactions were not previously disclosed, and I have now clarified (with Defendants’ agreement) that all transfers of assets out of the Trust exceeding $5 million must be reported.”
In addition to the financial discrepancies, Jones revealed that relevant tax returns for six Trust entities were not promptly disclosed, an oversight acknowledged by the defendants upon the judge’s request.
Despite ongoing corrective measures, Jones expressed vigilance, stating, “Defendants have resolved the issues identified in the August Report, subject to ongoing monitoring.”
Trump’s legal team responded, emphasizing cooperation with the court’s instructions. Attorney Chris Kise, in an email to Law&Crime, highlighted the report confirming compliance with the court order and asserted no mention of suspicious activity or fraud.
These revelations unfold within the context of an existing $250 million civil fraud lawsuit filed by Attorney General Letitia James in September 2022, alleging tax fraud by Trump, his family, and his companies. Tensions have escalated with Trump’s criticisms, including baseless accusations against court staff. A gag order issued by a New York appellate court on Thursday prevents Trump from verbally attacking the judge’s court staff, as directed by Justice Engoron.
